PDB to face Tk 60b loss in bulk business

Although the power tariffs were raised by 6.96 per cent at the retail level to offset revenue loss, yet the government may have to provide subsidy of about Tk 60 billion in the current fiscal.
According to official sources, the total loss of the government, including in retail and bulk power business, was estimated to be 80 billion in the current fiscal. Of this, the loss in retail power sale which is known as distribution was about Tk 20 billion while remaining Tk 60 billion loss is in bulk power sale or in the generation segment, according to a news agency.
This time, all the five distribution companies appealed to the Bangladesh Energy Regulatory Commission (BERC) seeking tariff hike at different rates considering their own position.
Among the five distribution companies, the Power Development Board (PDB) sought 15.50 per cent hike while DPDC 23.50 per cent, Desco 15.90 per cent, REB 12.58 per cent and WZPDC 8.59 per cent hike.
Sources said the PDB, which is solely responsible for power generation, also has distribution business and still it holds 25-27 per cent of the total power distribution business.
However, in the power distribution business, Rural Electrification Board (REB) has been the largest entity holding 35 per cent market share, while Dhaka Power Distribution Company (DPDC) holds a share of 19-20 per cent, Dhaka Electric Supply Company (Desco) 12 per cent, and West Zone Power Distribution Company (WZPDC) holds only 5 per cent of the business.